The Role of Government in Ecomomics

Open Ended

What standard of living do you hope to attain in life? 

How do you plan to accomplish this goal?

Multiple Select

According to this map, which nations are the TWO wealthiest of the countries listed?

• Russia

• USA

• Austraila

• Canada

Multiple Choice

In this economy manufactures of automobiles control the number of vehicles produced each month in a effort to avoid surpluses that would minimize their profits.

• Capitalism 

  (Free Market economy)

• Socialism 

  (mixed economy)

• Communism

   (Command economy)

Multiple Choice

In this economy, the government produces it’s signature crab flavored soft drink and determines that it will be sold for $1.25 in all stores.

• Capitalism 

  (Free Market economy)

• Socialism 

  (mixed economy)

• Communism

   (Command economy)

Multiple Choice

In this economy, investors can make millions investing in the construction of new homes, but it is just as likely that the value of these properties could decrease by 40%  and they will lose millions of dollars.

• Capitalism 

  (Free Market economy)

• Socialism 

  (mixed economy)

• Communism

   (Command economy)

Multiple Choice

In this economy, unemployment is around 3% and although taxes are high, all members of the society have access to good schools and hospitals.

• Capitalism 

  (Free Market economy)

• Socialism 

  (mixed economy)

• Communism

   (Command economy)

Multiple Choice

In this economy, there are only 3 types of automobiles to choose from.  They often break down and they are all painted a light brown color. 

• Capitalism 

  (Free Market economy)

• Socialism 

  (mixed economy)

• Communism

   (Command economy)

Multiple Choice

In this economy, you are the owner of construction company, but all your materials to build houses is regulated by the government to ensure safe housing for all.

• Capitalism 

  (Free Market economy)

• Socialism 

  (mixed economy)

• Communism

   (Command economy)

Multiple Choice

In this economy, the value of goods fluctuates greatly and as a company you must continue to produce quality goods, or risk being out of business.

• Capitalism 

  (Free Market economy)

• Socialism 

  (mixed economy)

• Communism

   (Command economy)

Multiple Choice

The law of demand states that if the price of CD’s rise, consumers will

• Buy more CDs

• Buy fewer CDs

• Quantity demanded will not change

Multiple Choice

What does a “surplus” (extra amount) of goods in a market imply?

• Prices are too high

• Prices are too low

• Supply is too low

• Demand is too high

Multiple Choice

What will happen to the price of tomatoes if more farmers decide to start growing tomatoes?

• The price will increase

• The price will decrease

Multiple Choice

What will happen to the price of new cars if a weak economy causes people to have lower incomes?

• The price will increase

• The price will decrease